3 Ways to Increase Room Revenue in 2015

Share Button

Hotels have seen ADR steadily increase since 2009. With stronger occupancy and new product positioning, hotels can always look for ways to increase revenue. Here are 3 ways that are worth a visit:

  1. Price Position Your Room Types
     Using property or room features can create perceived value to guests. View, floor, room size or other added amenities can allow guests to enhance their booking and differentiate the hotel from its competition. By having a range of prices it also allows guests to determine what kind of buyer they want to be at your property. Social psychology research has shown that the majority of buyers want to pick something in a middle price range because they don’t want to seem too cheap or too chic. They want something that fits just right.
  2.  Priority Check-in Upsell
    Having a priority lane for loyal guests has been a successful loyalty builder for years. More recently airlines have begun enhancing ticket prices by selling individual access to priority boarding. Large hotels can do the same thing. A fee of $5 or $10 acts as insurance to a traveler who may have a tight schedule. In addition, this may be a service used to enhance the upsell of a suite, or other premium room type while the guest is shopping.
  3. Maintain Rate Parity Across Guest Facing Channels
    Guests are able to book a room while they are standing in the lobby of the hotel. In less than 10 minutes a guest can compare your room rates on multiple OTAs and your own booking engine. They will go with the cheapest rate. If they choose to book at the desk as a walk-in and the rate is more than what they found online, it will create a negative guest interaction and could result in lost business.
RateShepherd.com clients are able to track the price position of competitors and watch the market moves in real time. This unparalleled view into room types, promotions and price changes helps hotels of all sizes compete better and increase revenue. Try it FREE today.
Share Button